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ACCC seeks 'unlimited' Optus ban

Lucy Battersby

THE consumer watchdog is seeking injunctions to restrain Singtel Optus from using ''unlimited'' in its advertising, including a three-year ban on the use of the term when advertising prepaid mobile, home phone and broadband plans.

But a consumer advocate claims the injunctions are the ''lowest possible'' penalty and has called on the Australian Competition and Consumer Commission to allow people on the plans to leave if they feel misled.

The ACCC has invited the Federal Court to impose any other penalties it believes appropriate for the allegedly misleading advertising campaign for a mobile phone, home phone and fixed broadband launched in March.

In an application lodged with the court in Melbourne, it says the advertisements implied that consumers could make phone calls without limits or restrictions, when the contract contained several limitations.

The ACCC is applying for ''an injunction restraining Optus [from] … making statements to the following effect: 'unlimited calls within Australia' and 'you get … unlimited standard calls within Australia'.''

The ACCC also wants Optus to stop using phrases such as ''connect without limits'' and ''it really is unlimited'', and calls for a three-year ban on statements advertising prepaid mobiles or home telephone and broadband plans as unlimited. The ACCC does not seek any penalty but asks Optus to pay court costs.

However, the chief executive of the Australian Communications Consumer Action Network, Allan Asher, said the application was insufficient.

''It is the lowest and weakest form of relief you can seek,'' he said. ''[The ACCC] should be seeking an order to provide compensation for any consumer who suffered loss or damage as a result of the misleading conduct.''

An Optus spokeswoman said the company believed its advertising clearly stated the ''unlimited'' plans had conditions and was not misleading. ''Optus has a different view to the ACCC regarding the use of the word 'unlimited' in our advertising,'' she said.